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F2: Advanced Financial Reporting

18.4 $296,000

Exchange difference on goodwill

$000
Closing goodwill @closing rate (W1) 2,291
less
Opening goodwill @ opening rate (€3,150/1.25) (2,520)
impairment @ average rate (€630/1.2) 525

–––––––
Exchange gain on goodwill for the year 296

Goodwill (W1)

000s
Consideration ($5m × 1.25) €6,250

Add: NCI @ FV €300
Less: FV NA @ acqn (€3,400)
––––––
Goodwill @ acqn €3,150
––––––

Less: impairment (20%) (€630)
––––––
Goodwill @ SFP date €2,520
Translated at closing rate (€2,520/1.1) 1.1

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Goodwill @ SFP date in $ $2,291

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